About Public Limited Company registration
Public Limited Company registration is the process of incorporating a business as a separate legal entity that can issue shares to the public. A PLC is a type of limited liability company that can offer its shares to the public for sale, and trade its shares on a stock exchange.
The registration process for a PLC is similar to that of a private limited company, with some additional requirements. The business owner must file the necessary documents with the appropriate government agency and obtain a certificate of incorporation.
The registration process typically involves choosing a unique company name, selecting company directors and shareholders, defining the company’s structure and purpose, and preparing a prospectus outlining the details of the company’s shares and their offer to the public.
Once the PLC is registered, it can offer shares to the public, trade its shares on a stock exchange, and raise capital from a wide range of investors.
PLCs are subject to more stringent regulatory and reporting requirements than private limited companies. For example, they must file annual reports and financial statements with the regulatory authorities, and adhere to strict rules regarding corporate governance and disclosure.
Types of Public Limited Companies:
Different types of public limited companies (PLCs) can be registered, depending on the nature of the business and the objectives of the owners. Some common types of PLCs include:
- Listed PLC: A listed PLC is a company whose shares are listed on a stock exchange, such as the London Stock Exchange or the New York Stock Exchange. This type of company can raise capital by selling its shares to the public.
- Unlisted PLC: An unlisted PLC is a company whose shares are not listed on a stock exchange but can be traded privately. This type of company can still raise capital from the public, but its shares are not as easily tradable as those of a listed company.
- Public sector PLC: A public sector PLC is a company that is owned by the government, but whose shares are publicly traded. This type of company can provide services and generate revenue for the government, while also allowing public investment.
- Employee-owned PLC: An employee-owned PLC is a company where the employees hold a significant stake in the business. This type of company can be more democratic in its decision-making and can provide greater incentives for employees to perform well.
- Social enterprise PLC: A social enterprise PLC is a company that operates for the benefit of society or the environment, rather than solely for profit. This type of company can be publicly traded and can provide investment opportunities for socially-conscious investors.
The type of PLC that is most suitable for a business will depend on its objectives, industry, and target audience. It is important to consider the legal and financial requirements of each type of PLC before deciding which one to register.
Checklist for Private limited company Registration:
- At least 7 shareholders
- At least 3 Directors
- At least 1 director should be a resident of India
- Directors and shareholders can be the same person.
- An address that acts as a registered address of the company
Documents Required for public limited Company Registration
For Director/Shareholders:
- Self-attested Pan card
- Self-attested Voter id or Driving license or Passport
- Self-attested Bank statement or electricity/telephone/mobile bill
- Recent passport-size photo
For the Registered address of the company:
If the premise is rented/leased
- Copy of the Electricity bill of the owner
- Rent or lease agreement
- NOC from the owner of the property
If the premise is Owned
- Copy of the Electricity bill of the owner
- NOC from the owner of the property
Process for Public limited company registration
- Name Reservation
- Procurement of Digital signatures
- Preparation of Incorporation documents
- Drafting of MOA/AOA
- Filling of Incorporation documents with MCA
- Filling of Registered office
- Filing of commencement of Business after Incorporation
- Issue of Share certificate to shareholders
What will you get from Us for Public Limited company registration
- 2 Director Identification Numbers
- Seven Class 3 Digital Signatures
- Company Name Approval
- MOA/AOA
- Certificate of Incorporation
- Company PAN & TAN
- Company PF/ESI number
- Company Shop and Establishment Registration
- Incorporation Kit
- Hard-copy Share Certificates
- Commencement of Business Certificate
- Bank Account opening document
- Document Formats
- First auditor appointment
An additional benefit of public limited company registration
- Bank Account Opening
- Free Domain
- Free Website up to 5 pages
- Listing on Social media platforms
- Listing on Google My Business for nearby business
- Razor pay/Payu money payment gateway for online payment
Here are the top 10 advantages of a Public Limited Company registration in India:
- Access to Capital: Public Limited Companies can raise capital by issuing shares to the public, making it easier to raise large amounts of capital than other business structures.
- Limited Liability: Shareholders have limited liability, meaning that their assets are not at risk if the company faces financial difficulties.
- Transferability of Shares: Shares in a Public Limited Company can be bought and sold freely on the stock exchange, allowing for easy transfer of ownership.
- Credibility: Being a Public Limited Company enhances the credibility of the business in the eyes of customers, suppliers, and potential investors.
- Legal Entity: A Public Limited Company is a separate legal entity, meaning that it can enter into contracts, sue, and be sued in its name.
- Perpetual Succession: The existence of a Public Limited Company is not affected by the death or departure of its directors or shareholders.
- Tax Benefits: Public Limited Companies enjoy certain tax benefits, such as lower corporate tax rates and the ability to claim deductions for business expenses.
- Branding: A Public Limited Company is often associated with established brands and has a better chance of attracting customers and investors than other business structures.
- Better Governance: Public Limited Companies are subject to strict corporate governance requirements, which help ensure transparency and accountability.
- Growth Potential: Public Limited Companies have greater access to funding and can grow faster than other business structures, allowing for the development of new products and services, expansion into new markets, and the creation of more jobs.